Hudson’s Bay announces 2,000 layoffs

Cuts will offset retail sector challenges and save $350 million annually

Hudson’s Bay Co. announced Thursday it is eliminating 2,000 jobs throughout North America to help offset various challenges it’s facing within the retail sector, which has been beset by store closures with the advent of online shopping.

The retail giant said the layoffs are intended to save $350 million annually once the plan is fully implemented by end of fiscal 2018. Some of the layoffs were previously announced in February, the company said.

“Savings from the changes we have announced today are required to help mitigate the pressures we are facing in the current environment,” Hudson’s Bay CEO Jerry Storch said in a statement after markets closed.

“As we have developed our plan, we have been determined to become not just a leaner company but also a better one.”

The announcement came as HBC released its first-quarter earnings, which showed a net loss of $221 million, more than double the $97 million loss it had in the same period last year. Retail sales were about $3.2 billion, a decrease of $100 million, or three per cent, from the prior year.

Founded in 1670, Hudson’s Bay is the oldest company in North America.

It employs more than 66,000 people and operates more than 480 stores under banners such as the Bay, Saks Fifth Avenue, Lord & Taylor, Gilt, and Saks Off 5th.

Before the announcement, shares in HBC closed down 11 cents, or 1.13 per cent, to $9.62 on 318,378 shares.

The Canadian Press

Just Posted

TDCSS to end on-campus daycare service

NWCC committed to finding licenced provider to fill space

Terrace teen honoured at Commonwealth writing competition

Ariadna Sullivan among 12,000 entrants vying for top awards

VIDEO: Researchers rely on drones to survey aftermath of B.C. wildfires

UBC researchers are using aerial drones to study the historic 2017 wildfires in the province

Rent continues to rise in Prince Rupert, drops in Terrace

A report from Canadian Mortage and Housing Corporation shows the average rent has risen by $132

Cops targeting risky behaviour, auto crime

Holiday campagaigns aim to keep roads safe, valuables protected

REPLAY: B.C. this week in video

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

B.C. wildfire evacuee admits to setting hotel room fire

A Williams Lake wildfire evacuee admitted to setting Kamloops hotel room on fire

UPDATE: Grizzly bear trophy hunting over in B.C.

Now only Indigenous people can hunt bears for meat

Star Blue Jays announced for Vancouver ‘Winter Tour’ event in January

Toronto’s pro baseball team heads west for two-day event

UPDATE: ‘Multiple fatalities’ as Amtrak derails in Washington State

13 cars jumped the tracks as train made its first voyage between Seattle and Portland

Mental effects of wildfire still linger in Fort McMurray

‘Resilient, but tired:’ Mental effects of wildfire lingering in Fort McMurray

Climate change hits Winter Olympic preparation

AP Exclusive: Climate change hits Winter Olympic preparation

Calgary Flames thump Vancouver Canucks 6-1

Mark Giordano, Sam Bennett lead the way as Flames thump Canucks 6-1

Homicide detectives now probing billionaire couple’s death

Police release cause of death of Barry and Honey Sherman as “ligature neck compression”

Most Read